Written notice of plan termination

After deciding to terminate the plan, the employer must send a written notice of termination to:

all members and beneficiaries affected by the termination. The notice must be sent even if the plan was established by collective agreement or the plan termination was negotiated with the union
the union, if applicable
the plan administrator
the insurer, if any.

Deadline

Active members

The written notice of termination must be sent to the active members no later than 30 days after the plan's termination date; if not, their written consent to the termination date is required.

Non-active members and beneficiaries

There is no prescribed time limit for sending the termination notice to non-active members and beneficiaries. The notice must be sent within a reasonable period of time so as not to unnecessarily delay the termination process.

Contents of the written notice of termination

At a minimum, the notice must include the following information:

the pension plan's identification (the plan's name and the number assigned to it by Retraite Québec)
the plan's termination date
the members and beneficiaries affected
- Define the group comprised of the affected members and beneficiaries rather than naming each individual.

Example of a notice

Notice of termination of the Pension Plan of Company XYZ

Please note that the pension plan of Company XYZ was terminated on 31 December 2023, that is, the date the company closed. The termination affects all those who were plan members and beneficiaries on 31 December 2023 as well as those employees who ceased to be active plan members on or after 30 September 2023, the date on which the closure of the business was announced.

For the employer,
A. Paradis

Legal reference

Section 204 of the Supplemental Pension Plans Act This link will open in a new window.